View/Open

State-run Oil Company PEMEX Looking into Purchase of Oil Refineries in U.S.

Author(s)

Navarro, Carlos

Abstract

The state-run oil company PEMEX is exploring the possibility of acquiring a partial or full share
of at least one refinery in the US to increase its processing capacity and boost the domestic
supply of gasoline. The move would complement the government’s plan to construct the
Refinería Bicentenario in Hidalgo state. The refinery, which would have the capacity to process
250,000 barrels per day, had originally been planned to begin operations in 2015, but PEMEX has
deferred construction of the facility and has given no clear explanation for the delay. The company has had some internal conversations about acquiring refinery capacity in the
US, but the proposal became public in early March when PEMEX director Juan José Suárez
Coppel mentioned the possibility in an interview with Bloomberg news service. This would be an
important strategic move for PEMEX, which is looking to acquire "significant" refining assets in the
US, said Suárez Coppel.